May a Dryject franchisee face competition from other franchisees?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control.
We reserve the right to negotiate and contract at discounted rates for the sale of System products and services to customers operating multiple facilities, some of which may be located within the Designated Territory ("Reserved Accounts"). We may use any method, including the Internet, or other direct marketing to develop this business. Franchise Owners will be provided the first opportunity to service facilities operated by Reserved Accounts within their Designated Territory. In the event that a Franchise Owner does not agree to provide a Reserved Account with the contracted goods or services for a facility operated within their Designated Territory at the discounted rate, we, any of our affiliates or another Franchise Owner may supply the goods or services for the Reserved Account, and you will not be entitled to receive any fee or other compensation associated with the transaction.
You must offer all services we designate. This may require you to upgrade, modernize or add to your existing equipment within the time period we require as provided in the Operations Manual, which is generally 6 months. If you are unable to provide the services required in your Designated Territory we may offer the job to a nearby franchisee or an affiliate of ours.
Source: Item 12 — TERRITORY (FDD pages 33–34)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, a franchisee may face competition from several sources. The FDD clearly states that Dryject franchisees do not receive an exclusive territory. This means that other franchisees, company-owned outlets, or other channels of distribution or competitive brands controlled by Dryject could operate in the same area.
Dryject also reserves the right to negotiate and contract at discounted rates for System products and services to customers operating multiple facilities, some of which may be located within a franchisee's designated territory. These are considered "Reserved Accounts". While franchisees have the first opportunity to service these facilities within their territory, if they do not agree to provide the services at the discounted rate, Dryject or another franchisee may supply the services, and the original franchisee will not receive any compensation.
Furthermore, if a Dryject franchisee is unable to provide all designated services, which may require upgrades to existing equipment within a specified timeframe, Dryject may offer the job to a nearby franchisee or an affiliate. This highlights the importance of being able to meet all service demands within the designated territory to avoid losing business to competitors within the Dryject system. These factors could significantly impact a franchisee's potential revenue and market share.